Understanding Payroll Tax Tables
This topic discusses how to:
Find instructions on year-end processing.
Work with payroll tax tables.
(USA) Work with U.S. Tax tables.
(CAN) Work with Canadian Tax tables.
Note: You must also set up tax locations and company tax tables, as documented in your PeopleSoft HCM Application Fundamentals product documentation.
Since year-end processing information changes regularly, PeopleSoft posts the most up-to-date instructions in the current year-end tax update documentation, posted on My Oracle Support.
The PeopleSoft Payroll for North America tax tables store tax information that the system requires to calculate and report taxes. PeopleSoft provides and maintains most of the payroll tax tables.
Payroll for North America delivers tax data for all federal and state or provincial taxing entities and almost all localities. Should you need a locality that PeopleSoft does not yet support, you can add and maintain entries using the tax pages. If you must make a change or addition to the standard tax information delivered with the system, you are responsible for maintaining the change until it is incorporated into PeopleSoft-maintained tax tables. After you notify us of the missing locality, PeopleSoft will add it to our standard system and maintain it for you in subsequent versions.
You are responsible for completing the tax tables that contain data specific to your company.
Note: The pages for Federal/State Tax, Taxable Gross Definition, and Canadian Tax tables reference more than one table.
Some U.S. tax tables are maintained by PeopleSoft, others are maintained by the employers.
PeopleSoft-Maintained Tables
These are the PeopleSoft-maintained tables for U.S. employers:
The Tax Class table.
Federal/State Tax and Local Tax tables, which contain rates and other constants used in the calculation of most forms of taxes for U.S. federal, state, and local taxing entities.
State and Local Tax Reciprocity tables, which define reciprocal taxing rules between states and localities, and other rules for determining tax liabilities for multiple jurisdictions.
Taxable Gross Definition table, which identifies differences between states or localities and the federal government in the definition of taxable wages.
SWT Marital Status table, which defines the valid tax marital status codes for each state.
See (USA) Viewing State Marital Status Codes and the documentation that comes with your year-end tax update..
Note: Employers can add additional values to certain PeopleSoft-maintained tables. Before adding values, refer to the documentation for the related pages to review any warnings or limitations.
Employer-Maintained Tables
U.S. employers must set up and maintain the following tables:
Tax Location table, which contains the work locations for which you process payroll and taxes.
Company State Tax and Company Local Tax tables, which store tax identification numbers, unemployment and disability experience rates, and general ledger codes for the states and localities for which your company collects and pays taxes.
See (USA) Setting Up the Company State Tax Table and (USA) Setting Up the Company Local Tax Table.
Tax Reporting Parameters table, which controls the execution of many of your quarterly and annual tax reports and specifies data needed for magnetic media filing.
Some Canadian tax tables are maintained by PeopleSoft, others are maintained by the employers.
PeopleSoft-Maintained Tables
Canadian Tax tables, which contain rates and other constants used in the calculation of all forms of federal, provincial, and Quebec taxes.
Employer-Maintained Tables
Canadian employers must define and maintain the following tables:
The Canadian Wage Loss Plan table, which identifies your organization's valid wage loss replacement plans and general ledger account numbers.
The Canadian Company Tax table, which defines the Prescribed Interest rate, Provincial Premium Tax rate, and Health Insurance rate override.
Canadian Tax Reporting Parameters table, which controls the execution of many quarterly and annual tax reports and specifies data needed for magnetic media filing.